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Ordinance 2015-06 UNITED CITY OF YORKVILLE KENDALL COUNTY, ILLINOIS ORDINANCE NO. 2015-06 AN ORDINANCE OF THE UNITED CITY OF YORKVILLE,KENDALL COUNTY, ILLINOIS, AMENDING THE LICENSE REGULATIONS FOR PAWNBROKERS AND RESALE DEALERS IN THE CITY TO COMPLY WITH STATE LAW Passed by the City Council of the United City of Yorkville,Kendall County, Illinois This 27`x'day of January, 2015 Published in pamphlet form by the authority of the Mayor and City Council of the United City of Yorkville,Kendall County, Illinois on February 6, 2015. Ordinance No. 2015-06 AN ORDINANCE OF THE UNITED CITY OF YORKVILLE, KENDALL COUNTY, ILLINOIS, AMENDING THE LICENSE REGULATIONS FOR PAWNBROKERS AND RESALE DEALERS IN THE CITY TO COMPLY WITH STATE LAW WHEREAS, the United City of Yorkville (the "City") is a duly organized and validly existing non home-rule municipality created in accordance with the Constitution of the State of Illinois of 1970 and the laws of the State; and, WHEREAS, Section 11-42-5 of the Illinois Municipal Code (65 ILCS 5/11-42-5) provides that the corporate authorities of a municipality may license, tax, regulate or prohibit pawnbrokers; and, WHEREAS, Section 11-42-3 of the Illinois Municipal Code (65 ILCS 5/11-42-3) provides that the corporate authorities of a municipality may license, tax, locate and regulate all places of business of dealers in junk, dismantled or wrecked motor vehicles or parts thereof, and any second-hand article whatsoever; and, WHEREAS, the regulation of pawnbroker and resale business through licensing and other regulations is necessary to deter and detect crime and to otherwise protect the public health, safety, morals and welfare relating to their operation; and, WHEREAS, deterring crime, detecting crime, protecting theft victims and recovering stolen property relates to the protection of the public health, safety, morals and welfare of the City; and, WHEREAS, Chapter 13 of the Yorkville City Code does not comply with the Resale Dealers Act (815 ILCS 398/1 et seq.); and, WHEREAS, the City Council of the City has determined that it is necessary and desirable to amend the regulations regarding pawnbroker and resale businesses to bring the Yorkville City Code into compliance with state law. NOW, THEREFORE, BE IT ORDAINED by the Mayor and City Council of the United City of Yorkville, Kendall County, Illinois, as follows: Section 1. The above recitals are incorporated and made a part of this Ordinance. Section 2. That Title 3, Chapter 13, Section 3-13-1 of the Yorkville City Code be and is hereby amended by deleting the definition of"Precious Metals" in its entirety and replacing said definition with the following in its stead: "PRECIOUS METALS: Any item containing gold (chemical symbol Au), silver (chemical symbol Ag), platinum (chemical symbol Pt), palladium (chemical symbol Pd), or rhodium (chemical symbol Rh) or any combination of gold, silver, platinum, Ordinance No. 2015-06 Page 2 palladium, or rhodium, but not including items containing any chemical or any automotive, photographic, electrical, medical or dental materials, or electronic parts, except for those containing precious metals." Section 3. That Title 3, Chapter 13, Section 3-13-1 of the Yorkville City Code be and is hereby amended by deleting Subsection A under the definition of"Resale Dealer" in its entirety and replacing said Subsection with the following in its stead: "A. The term "resale dealer" shall include, but not be limited to, businesses commonly known as swapshop operators, cash for gold operators, stamp dealers, coin dealers and jewelers that purchase and resell items from persons other than dealers possessing a federal employee identification number and suppliers and engage in disassembling for purposes other than appraisals, melting, or otherwise altering jewelry. The term "resale dealer" shall not include pawnbrokers, providers of commercial mobile services as defined in 47 U.S.C. 332(d) or their authorized dealers, or retail merchants that do not purchase previously owned items directly from the public at the retail location." Section 4. That Title 3, Chapter 13 of the Yorkville City Code be and is hereby amended by deleting Section 3-13-3 in its entirety and replacing it with the following in its stead: "3-13-3: RESALE DEALER EXEMPTIONS: The following activities shall be exempt from the requirements of this chapter for resale dealers: A. Residential garage sales. B. Sales conducted by governmental, civic, patriotic, fraternal, educational, religious or benevolent organizations which have been active and in continuous existence for at least one year prior to the holding of the sale, or which are exempt from taxation under section 501(c) of the federal internal revenue code. C. Sales or purchases which are regulated by the licensing laws of the state, including automobile dealers, used parts dealers and automotive parts recyclers. D. Consumer shows or exhibitions of collectibles other than a show or convention that offers to buy second hand jewelry from attendees. E. Sales by auctioneers. F. Sales by pawnbrokers holding a license pursuant to this chapter. G. Sales of recyclable metal by a recyclable metal dealer. H. Sales of recyclable materials by a scavenger. Ordinance No.2015-06 Page 3 I. Sales or trades of used books between a customer and owner of a used bookstore. J. Sales by providers of commercial mobile services as defined in 47 U.S.C. 332(d) or their authorized dealers." Section S. That Title 3, Chapter 13 of the Yorkville City Code be and is hereby amended by deleting Section 3-13-17 in its entirety and replacing it with the following in its stead: "3-13-17: RECORDS OF PURCHASES: Throughout the term of the license, every pawnbroker and resale dealer shall report/upload to LeadsOnline, or the city's current electronic reporting system, each day before the hour of 12 o'clock noon, the below listed information for each and every transaction conducted during each day they were open for business. All information shall be recorded in the English language. A transaction shall consist of all articles brought in to a pawnbroker or resale dealer for sale, barter, or trade, by an individual (pawner/seller) at the same time and date, and includes the sale of nonjunk/scrap articles by a pawnbroker or resale dealer to another person. Articles brought into a pawnbroker or resale dealer by an individual (pawner/seller) for sale, barter, trade or pawn, at different times on the same date by the same person shall be considered as separate transactions, regardless of how short the difference in time is between those transactions. Separate transactions, either from the same person or different persons, shall not be combined and reported collectively. Nonjunk/scrap articles purchased by a pawnbroker from another business shall not be considered to be transactions for the purposes of this section, and are exempt from the reporting requirements of this section, and are also exempt from the waiting period. A. Transactions involving individually identifiable articles. 1. Purchases/receipts by licensees. Each individually identifiable article brought in to a pawnbroker or resale dealer by an individual (pawner/seller) for sale, barter or trade during a single transaction shall be itemized separately. Licensees shall not lump such articles together,but must provide a complete and thorough description of each item to include the following: a. Type of article. b. Brand name/make/manufacturer(if applicable). c. Model number (if applicable). d. Serial number (if applicable). Ordinance No. 2015-06 Page 4 e. Color/finish. f. Any other identifying marks, writing, engraving, etc. 2. A digital photograph(s) shall be taken of each individually identifiable article, sufficiently detailed to allow reasonable identification of the article. The digital photograph(s) shall capture any identifying numbers, marks, writing, engraving, etc., or any other distinguishing characteristics. 3. A photographic or scanned image of a photo ID card of the pawner/seller, sufficiently clear to allow the information on the ID to be read. The photo ID must be a currently valid (not expired) driver's license or State identification card issued by the Illinois Secretary of State, and must include the seller's first and last name, current address, date of birth, and physical descriptors. If the seller is selling on behalf of a company or business, the name, address, and telephone number of such company or business shall also be recorded/reported. 4. The date and time of the transaction. 5. A signed statement of the person from whom the property was obtained that he or she is over eighteen (18) years of age and the legal owner of same clear of all attachments and with the legal right to sell. B. Transactions involving nonindividually identifiable articles. 1. Nonindividually identifiable articles may be recorded or reported in bulk, but must specify the weight, type and form of the bulk material. 2. Each different type and form of nonindividually identifiable articles brought in to a pawnbroker or resale dealer by an individual for sale,barter or trade during a transaction shall be associated with the person who brought the material in. 3. A photographic or scanned image of a photo ID card of the pawner/seller, sufficiently clear to allow the information on the ID to be read. The photo ID must be a currently valid (not expired) driver's license or State identification card issued by the Illinois Secretary of State, and must include the seller's first and last name, current address, date of birth, and physical descriptors. If the seller is selling on behalf of a company or business, the name, address, and telephone number of such company or business shall also be recorded/reported. 4. A digital photograph or, if the licensee has a video system, video segment of each individual type and form of bulk material purchased by the licensee shall be linked to the record of that transaction in LeadsOnline or the city's current electronic reporting system. Ordinance No.2015-06 Page 5 5. The date and time of the transaction. 6. A signed statement of the person from whom the property was obtained that he or she is over eighteen (18) years of age and the legal owner of same clear of all attachments and with the legal right to sell. C. Paper money shall be exempt from the requirements of this chapter. D. In the event the electronic reporting system malfunctions or is otherwise not operational, the licensee shall, at all times during such malfunction or nonoperation, be required to keep written records of any and all transactions made during the period of malfunction or nonoperation, to include all information required by this section. These written records shall be reported/uploaded to LeadsOnline, or the city's current electronic reporting system, as soon as practicable after the electronic reporting system is functional. No such written records shall be erased, mutilated or changed. Written records shall be open and available for review upon request by any police officer during regular business hours." Section 6. That Title 3, Chapter 13 of the Yorkville City Code be and is hereby amended by deleting Section 3-13-20 in its entirety and replacing it with the following in its stead: "3-13-20: WAITING PERIOD: A. No pawnbroker or resale dealer shall expose for sale, sell, trade, barter, melt, crush/compact, destroy, or otherwise dispose of any individually identifiable article within ten (10) days of the time of purchasing or receiving the same. B. No pawnbroker or resale dealer shall expose for sale, sell, trade, barter, melt, crush/compact, destroy, or otherwise dispose of any nonindividually identifiable jewelry or other nonindividually identifiable articles, except paper money, within seven (7) days of the time of purchasing or receiving the same. C. All items subject to this section shall be stored at the location in which they were purchased during the waiting period." Section 7. That Title 3, Chapter 13, Section 3-13-25 of the Yorkville City Code be and is hereby amended by deleting Subsection A in its entirety and replacing said Subsection with the following in its stead: "A. Any person violating any of the provisions or failure to comply with any of the mandatory requirements of this chapter shall be guilty of an offense. Any person convicted of an offense under this chapter, in addition to other legal and equitable remedies available to the city, shall be punished by a fine in an amount of not less than seven hundred fifty dollars ($750.00) for each offense." Ordinance No. 2015-06 Page 6 Section 8. This Ordinance shall be in full force and effect upon its passage, approval, and publication as provided by law. Passed by the City Council of the United City of Yorkville, Kendall County, Illinois this o?'7 _day of J,4t4 uAg y ) 2015. F–PUTY CITY CLERK CARLO COLOSIMO aye KEN KOCH aye JACKIE MILSCHEWSKI Ue LARRY KOT aye CHRIS FUNKHOUSER Ue JOEL FRIEDERS aye ROSE ANN SPEARS aye DIANE TEELING Ue Approved by me, as Mayor of the United City of Yorkville, Kendall County, Illinois, this G day of F E 8RUAQ 1,' , 2015. JLM�01 & MA OR Attest: —MpV-rY CITY CLERK Ordinance No.2015-06 Page 7